DCL MARITECH LIMITED Vs. GOVERNMENT OF A P

JUDGEMENT

(1.) THIS application has been taken out by the Official Liquidator acting on behalf of M/s. DCL Maritech Ltd, company under liquidation seeking directions to the 1st respondent, the Land Acquisition Officer and Revenue divisional Offier, Nellore to pay compensation at the rate of Rs. 2,50,000/- per acre for land admeasuring Ac. 113. 44 cts belonging to the company under liquidation which was acquired for a public purpose. This application has been taken out in terms of sub-section (1) (e) of Section 457 of the Companies Act r/w rule 9 of the Companies (Court) Rules, 1959.

(2.) M/s. DCL Maritech Ltd. , was ordered by this court on 19. 2. 2003 to be wound up, entertaining CP No. 21 of 2002 instituted by M/s. Godavari Packaging systems, one of the creditors of M/s. DCL Maritech Limited. The Official liquidator attached to this court has been appointed as its liquidator. The company under liquidation acquired large extents of land of Ac. 409. 42 situated at Krishnapatnam in Nellore District. Out of this extent, 242. 72 acres of land has been acquired by the State Government for establishment of a thermal power project through their ordrs passed in G. O. Ms. No. 226 (Revenue Land Acquisition)Department, dated 2. 5. 1995. Inspite of the objections raised by the company that acquisition of such large extents of land belonging to it will virtually cripple the very objective for which the company was established mainly by developing fish ponds for carrying on business in pisci culture, the State government has overruled the objections in view of the larger public interest demanding establishment of a thermal power station at Krishnapatnam. An amount of Rs. 3,46,16,639. 27 ps was awarded as compensation for the land acquired by the State Government. This money has since been transferred to the credit of the company under liquidation. Subsequently the Government of Andhra Pradesh has also acquired 113. 44 acres of land at Krishnapatnam for development of krishnapatnam port. State Bank of India, one of the bankers of the company under liquidation which has extended credit facilities to the company, has brought the said factor of the acquisition of land belonging to the company under liquidation to the notice of the Official Liquidator during March, 2007. Immediately, the Official Liquidator has taken up the issue with the Land acquisition Officer and the Revenue Divisional Officer, Nellore, for payment of compensation for these lands. The matter was subsequently pursued in September, 2007 and in November, 2007. Ultimately, the Revenue Divisional Officer responded on 11. 12. 2007 intimating the fact that the amount of compensation of rs. 1,91,62,592/- awarded for the acquisition of the company's land at krishnapatnam by him has been remitted and deposited with the Principal Senior civil Judge's Court, Nellore in terms of Sections 30 and 31 of the Land acquisition Act as there was no claim made by any one for payment of the compensation amount. Thereafter, the Official Liquidator moved CA No. 76 of 2008 in CP No. 21 of 2002 seeking directions to the Learned Principal Senior civil Judge, Nellore, to transmit the compensation amount deposited by the Land acquisition Officer to this court. The said CA was ordered on 11. 2. 2008. In compliance with the directions issued therein, the learned Senior Civil Judge, nellore has remitted an amount of Rs. 1,93,34,816/- being the amount of compensation deposited by the Land Acquisition Officer, together with the interest earned thereon, and the amount was remitted on 22. 5. 2008.

(3.) THEREAFTER, State Bank of India through their letter dated 30. 5. 2008 intimated the Official Liquidator that one of its officers deputed by the bank had applied for and obtained copies of award passed in Form No. 8 on 10. 4. 2007 by the Land Acquisition Officer. From a perusal of the award dated 10. 4. 2007, it became clear that for a small extent of land comprising Ac. 4. 15 cts, the parties appeared to have given their consent for passing an award determining the amount of compensation payable to them at the rate of Rs. 2,50,000/- per acre. Accordingly, the amount of compensation has been paid to the said land owners determining the compensation payable at the rate of Rs. 2,50,000/- per acre. Whereas for the land belonging to the company under liquidation, which is forming part of the same compact block with the other land for which the compensation has been awarded on consent basis, amount of compensation payable has been determined fixing the market value of the land at the rate of rs. 1,20,000/- per acre. He has worked out the solatium payable in terms of section 23 of the Land Acquisition Act at the rate of Rs. 36,000/- per acre and the additional market value in terms of Section 23 (1) (A) of the Land Acquisition act at the rate of Rs. 13,216/- per acre for 335 days calculated from 11. 5. 2006, the date on which publication of the draft notification has been made in the locality up to 10. 4. 2007, i. e. , up to the date of award. Thus, he has worked out the total compensation payable per acre at the rate of Rs. 1,69,216/ -. In view of this gross disparity in fixing the amount of compensation, the Official liquidator has filed the present application seeking directions to the respondent - Land Acquisition Officer to pay compensation at the rate of rs. 2,50,000/- per acre as was done in the case of the others whose land of ac. 4. 15 cts which was also simultaneously acquired through the same notification along with the land of the company for the very same public purpose.